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It's Where You Work: Increases in Earnings Dispersion Across Establishments and Individuals in the US

Bryson, AJ; Freeman, RB; Barth, E; Davis, JC; (2016) It's Where You Work: Increases in Earnings Dispersion Across Establishments and Individuals in the US. Journal of Labor Economics , 34 (S2) S57-S97. 10.1086/684045. Green open access

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Abstract

This paper analyzes the role of establishments in the upward trend in dispersion of earnings that has become a central topic in economic analysis and policy debate. It decomposes changes in the variance of ln earnings among individuals into the part due to changes in earnings among establishments and the part due to changes in earnings within-establishments. The main finding is that much of the 1970s-2010s increase in earnings inequality results from increased dispersion of the earnings among the establishments where individuals work. Our results direct attention to the role of establishment-level pay setting and economic adjustments in earnings inequality.

Type: Article
Title: It's Where You Work: Increases in Earnings Dispersion Across Establishments and Individuals in the US
Location: United States
Open access status: An open access version is available from UCL Discovery
DOI: 10.1086/684045
Publisher version: http://dx.doi.org/10.1086/684045
Language: English
Additional information: © 2016 by The University of Chicago. All rights reserved.
Keywords: Earnings, earnings inequality, productivity
UCL classification: UCL
UCL > Provost and Vice Provost Offices > School of Education
UCL > Provost and Vice Provost Offices > School of Education > UCL Institute of Education
UCL > Provost and Vice Provost Offices > School of Education > UCL Institute of Education > IOE - Social Research Institute
URI: https://discovery.ucl.ac.uk/id/eprint/1474533
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